Share

Miami, FL Law Blog for Entertainment Law, Business Law, and Public Interest

Saturday, January 28, 2012

In search of the largest piece of a shrinking pie

By Pankaj Ladhar of Manos • Alwine P.L.

The commercial real estate sector in South Florida has certainly seen better times. While there is hope that the sector is poised to start a slow but steady recovery, this is of little help to those facing challenges today. Foreclosure and bankruptcy is an everyday reality for too many investors, commercial property owners and tenants. When a property runs into trouble no one wants to be left holding the bag.

But in bankruptcy and other situations in which there are simply no longer enough assets to go around, it is important to be pragmatic. Sometimes it may make sense to hold out for highest possible amount, while in other situations no amount of effort is going to increase the return. Recently a bankruptcy judge in Florida allowed competing plans to be filed in the bankruptcy case concerning a commercial property.

The Terra Group had wanted to acquire control of the Town Center at Doral. Terra had entered into an agreement with the property owners to attempt to satisfy the outstanding debts as well as finance the bankruptcy case. But this would have meant that the entities that had claims against the property would have received much less than the full amount that they were owed.

A large portion of the debt was owed to the community development district (CDD). The CDD is a government project which helps facilitate infrastructure improvements. The CDD objected to this plan because they said it would negatively impact their ability to fund future development projects. The judge has allowed the CDD to file a competing bankruptcy plan.

Source: South Florida Business Journal, "Judge throws wrench into Terra Group's Doral plans," Brian Brandell, Jan. 26, 2012


Archived Posts

2016
2015
2014
2013
2012
December
November
October
September
August
July
June
May
April
March
February
January
2011
December
November
October
September
August
July
June


Manos Schenk is located in Miami, Florida, and serves Miami as well as the surrounding South Florida communities, including Aventura, Kendall, Coral Gables, Homestead, Pinecrest, Hialeah, Miami Beach, Doral, Fort Lauderdale, Hollywood, Key Biscayne, Coconut Grove, Palm Beach, South Beach, Miami-Dade County, Broward County, Palm Beach County and Monroe County.



© 2018 Manos Schenk PL, Attorneys and Counselors at Law
1001 Brickell Bay Drive, Suite 1200, Miami, FL 33131
| Phone: 305-341-3100

Practice Areas | Media Center | Our Professionals | NEWS

FacebookGoogle+Twitter

Law Firm Website Design by
Amicus Creative